Bloom Energy’s third quarter results were marked by a notable acceleration in demand for its on-site power solutions, particularly from sectors driven by artificial intelligence (AI) infrastructure buildouts. Management credited the company’s robust commercial momentum to expanding customer adoption in both the AI ecosystem and traditional industrial markets. CEO K.R. Sridhar emphasized that Bloom’s modular fuel cell technology, which has seen consistent year-over-year cost reductions and performance improvements, is now competitive in new geographic and vertical markets. Notably, Sridhar cited recent wins with major telecom and semiconductor companies as evidence of Bloom’s growing reputation as a reliable power provider.
Is now the time to buy BE? Find out in our full research report (it’s free for active Edge members).
Bloom Energy (BE) Q3 CY2025 Highlights:
- Revenue: $519 million vs analyst estimates of $420.9 million (57.1% year-on-year growth, 23.3% beat)
- Adjusted EPS: $0.15 vs analyst estimates of $0.10 (50.2% beat)
- Adjusted EBITDA: $59.05 million vs analyst estimates of $46.02 million (11.4% margin, 28.3% beat)
- Operating Margin: 1.5%, up from -2.9% in the same quarter last year
- Market Capitalization: $33.67 billion
While we enjoy listening to the management's commentary, our favorite part of earnings calls are the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention.
Our Top 5 Analyst Questions From Bloom Energy’s Q3 Earnings Call
- David Arcaro (Morgan Stanley) asked about the pace of commercial activity and future deal flow. CEO K.R. Sridhar replied that commercial momentum is accelerating across all markets, not just AI, and emphasized the company’s robust sales pipeline.
- Chris Dendrinos (RBC Capital Markets) inquired about the Brookfield partnership’s financial impact and timeline. Sridhar underscored the scale of the relationship, noting Brookfield’s initial $5 billion investment and plans to announce a European AI data center powered by Bloom.
- Manav Gupta (UBS) questioned how regulatory proposals to expedite grid interconnections could benefit Bloom. Sridhar explained that faster approvals would support Bloom’s rapid deployment model and enhance its value proposition to utilities and data centers.
- Nicholas Amicucci (Evercore ISI) asked about utilization of expanded manufacturing capacity and potential for further expansion. Sridhar stated that Bloom’s disciplined investment approach ensures capacity is scaled in response to market demand, and that the company will not be a constraint for customers.
- Mark W. Strouse (JPMorgan) requested insight into long-term margin expectations as capacity utilization increases. Sridhar pointed to a decade of double-digit annual cost reductions and operational discipline as drivers for sustained margin improvement.
Catalysts in Upcoming Quarters
Looking ahead, our analyst team will be monitoring (1) the pace at which AI and data center deals convert from pipeline to revenue, (2) execution of manufacturing expansion and associated margin trends, and (3) the rollout and impact of international partnerships, particularly in Europe and Asia. Policy developments and adoption of new fuel cell applications in carbon capture will also be important factors to track.
Bloom Energy currently trades at $142.06, up from $113.32 just before the earnings. Is the company at an inflection point that warrants a buy or sell? Find out in our full research report (it’s free for active Edge members).
High-Quality Stocks for All Market Conditions
Trump’s April 2025 tariff bombshell triggered a massive market selloff, but stocks have since staged an impressive recovery, leaving those who panic sold on the sidelines.
Take advantage of the rebound by checking out our Top 5 Growth Stocks for this month. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025).
Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-micro-cap company Tecnoglass (+1,754% five-year return). Find your next big winner with StockStory today.
StockStory is growing and hiring equity analyst and marketing roles. Are you a 0 to 1 builder passionate about the markets and AI? See the open roles here.
